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FREQUENTLY ASKED QUESTIONS

Q: What is the Franchise Funding Group?

 
A: Franchise Funding Group is The Shark Tank of Franchising.  We are strategic partners and investors, helping entrepreneurs to scale their businesses nationally through the franchising business model.  We also work with emerging franchise systems (1 to 50 units) that simply need additional marketing firepower, franchise development expertise and funding to achieve breakthrough growth and success.


We are NOT franchise development consultants.  We have real “skin in the game” and our success is tied directly to your success.  Unlike consultants, you don’t pay us -- we invest in you, your business and its future.  For an equity stake and monthly advisory fee, we will invest in your business with our time, services, expertise, training, proprietary systems, marketing and capital to help launch your franchise system OR put your existing franchise system on a path of accelerated growth.

 

We are THE answer to your questions: How do I franchise my business?  Who can help me franchise my company?  Who can help me expand my existing franchise system?  Where can I find a true franchise development partner that has my best interests at heart?

 

Q: How much franchise-industry expertise do you have?

 

A: The Franchise Funding Group is led by our Advisory Board, a select group of franchise developers, executives and investors with a track record over three decades second to none. Collectively, our Advisory Board Members have successfully developed, launched and led dozens of businesses, including several franchise systems recognized as number 1 in their industry and producing thousands of franchises in over 16 countries. 

 

These franchise-industry veterans have led in such capacities as Chairman, CEO, President, Founder, Director of Operations, VP of Franchise Development, General Counsel, etc.  More relevant, our Board Members have collectively launched eight national franchise systems, have overseen three successful exits, and are currently affiliated with five franchise brands.  In addition, the Franchise Funding Group and its affiliates currently have more than 75 employees at our corporate headquarters – all dedicated to franchise development, support, and on-going success in such areas as: franchise marketing, sales, training, legal, finance, operations, innovation and support.

 

Learn more about us, and the franchise systems we currently operate, here.

 

Q: Why are you offering this service?

 

A: We love what we do and are very good at what we do! This is our way of giving back and making a difference in the lives of others, by sharing our collective franchising expertise and track record of success.  We have been very fortunate to enjoy long-term success and fulfillment with our multitude of franchise businesses and want to help other entrepreneurs and struggling franchisors achieve similar results.  This is a powerful national platform for us to leverage our talents, expertise and resources…and to help strengthen the American dream, the small business community, and job creation. 

 

Q: What kind of candidates and companies are you looking for?

 

A:  FFG is not for everyone. You must have an abundance and not a scarcity mindset and willing to have others help you create a national business and share it that journey and the risks, investment, and yes, ownership. We will consider all successful and profitable business concepts, but we are especially looking for energetic entrepreneurs who have an exciting concept with national, if not international, appeal. We are especially interested in service businesses that enrich and help take care of: homes (inside and out), aging parents, children, pets, automobiles, or personal health and well-being. We generally are NOT interested in restaurant, hospitality, fitness, or brick-and-mortar retail concepts. To be admitted into the Franchise Funding Group, a candidate must pass an initial two-part online application process, as well as submit to a phone interview, financial review, and complete an in-person, in-depth interview process with the Advisory Board in Cincinnati, Ohio.  

 

Q: What investment is required to work with the Franchise Funding Group?
 

 A: We are NOT high-priced, franchise development consultants.  We are investors and strategic partners. We have real “skin in the game” and our success is tied directly to your success.  Unlike consultants, you don’t pay us -- we invest in you, your business and its future. If selected, we will invest our time, services, expertise, training, marketing, proprietary systems, mentoring and capital to help launch your franchise system OR put your existing franchise system on a path of hyper-growth. In exchange, we earn a 10% advisory fee and an equity stake, between 25% to 51% or more, depending on the risks we assume and our level of investment of time, expertise, and capital. Launching a new franchise system, even with a slow and steady approach, will cost at least $250,000-$500,000 the first few years. This is not for the faint of heart...you must have a bold vision and solid commitment.

Q: What equity will I need to share in the NEW franchise system we create? 
 

A: That depends on a case-by-case basis. If our investment and risks are modest, we will only require a minority equity stake, typically between 25-49%. However, in some cases where the risks are high and we will be investing time, resources and capital exceeding a few hundred thousand dollars or more, we may require an equity stake of 51% or more. In all cases, we earn a 10% advisory fee on the total revenue generated by the new franchise company (franchise fees and royalties) for ongoing guidance and to recoup our initial investment in your company.  

 

Q: What benefits will I receive in return for the Franchise Funding Group’s minority stake in my new franchise company?

 

A:  You will receive our time, expertise, services, training, marketing, systems-development, proprietary processes, and capital to help launch your franchise system OR put your existing franchise system on a path of accelerated growth. Included in that is ongoing guidance, strategy and development for the franchise system, as well as training you and your teams in franchise marketing, sales and operations. As necessary, we will help guide you to develop necessary operating manuals, systems, and back-office franchise sales and support structures.  We will help you develop the initial franchise marketing brochures, publicity, on-line ads, and social media campaigns to drive franchise buyers to your concept. We'll give you access to legal advisers at significantly discounted rates and regular face-to-face advisory sessions with members of the FFG executive team and their staff.  For a full listing of benefits you'll receive, click here. 

 

Q: Will my business have to re-locate to Cincinnati, Ohio?

 

A: No. We don’t require our chosen candidates to relocate. If you remain the majority owner, you can continue to own and run your existing business as well as your franchise system, operating it from your hometown. You and your team will have to periodically come to Cincinnati for strategy sessions, franchise development planning and adjustments, and various training programs. 

 

Q: Why should I want to franchise my company?

 

A: Franchising your company gives you a platform for significant expansion without using your own capital and hiring employees in every new location.  Franchising gives you access to fully engaged talent, encouraging these individuals to own and manage new locations while giving them an incentive to put forth their best effort…they have an owner mindset instead of an employee mindset. Plus, franchising is a good way to earn expansion capital. Your franchisees will pay to buy locations in your system, allowing you to significantly grow the number of locations without using your own capital. A good franchise business model will allow you to scale significantly to more locations, dramatically leverage your operating systems, and earn more money as you are deriving royalties from a much larger group of operators, than trying to do it all yourself. However, it will cost you at least $250,000-$500,000 to launch your franchise system in the first year or two, using a slow and steady approach, if you do it on your own without any FFG capital.  

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